Money saving expert Martin Lewis was back on our screens tonight for another instalment of his ITV Money Show - helping people boost their savings.

The consumer champion spoke to one woman who was advised to withdraw her cash in one lump sum when she retired three years ago.

"I was advised to take the largest lump sum I could, but it's now sitting in the bank and making nothing," Lynne explained.

Three years ago she was told to take out £150,000 - which has been sitting idle in a single bank account ever since. So much so, that she earned just £25 last year, equivalent to just 0.02% in interest.

However, speaking to Martin, she discovered how she could multiply last year's earnings by 100 times - with £2,500 in interest over the next year.

Despite suffering from a throat condition that left him unable to speak last week, Martin was on the way to recovery and keen to talk about saving in this week's show.

"Half of people have money sitting in accounts with low interest," he said. "But there ARE places to put it to make sure you earn - despite low interest rates."

"The top easy access savings account currently pays 1.35%," explained Martin, (see best buys here), so if she put all of your money in there, Lynne would earn just under £2,000 over the next year PLUS she'd be able to withdraw the money at any point, he explained.

However under tax rules, a basic rate taxpayer (which Lynne and Richard both are) can only earn £1,000 in interest a year before they have to pay tax on it.

This means that if Lynne put all of her money into an easy access or fixed account, she'd be exceeding that, and would have to pay 20% tax.

Instead, Martin suggests splitting her savings with husband of almost than 40 years, Richard.

That way, he explains, they could earn £1,000 each and not pay tax on a large part of the cash.

However, even if they split the money in half and put it into a high interest fixed rate account, both Lynne and Richard would still go over their allowance - paying 20% tax on the amount they exceed it by.

So what could they do to avoid this tax?

Martin explains that they should open a tax-free cash ISA and max out their £20,000 a year allowance which counts ON TOP of their personal allowance.

"If you each put £20,000 a year into a tax free ISA, you'd be earning interest on £40,000 a year tax free," he added.

Check your rates RIGHT now

First time buyers stand to gain thousands from the Government - so take advantage

Speaking on the best interest rates right now, Martin added that the current top payer in the easy access cash ISA market is Virgin Money with 1.45%, while the best fixed ISA is Synergy Bank at 1.73%.

But remember you need to have more than £60,000 in savings before you pay tax in the UK - so anyone with less than that should always follow the highest payer out of the best buys right now: cash ISA and normal savings account (find out more here).